Key points
- $38M agreement signed for Groundrush decline construction
- Portal construction to begin in September
- Decline to extend 3.5km to 350m depth
- Aim to convert 400,000 ounces of Inferred Resources to Indicated status
Full summary
Tanami Gold NL and MGX Resources Limited have signed a $38 million agreement with Macmahon Underground Pty Ltd for the construction of the Groundrush underground decline at the Central Tanami Project Joint Venture mine site in the Northern Territory. The agreement includes portal and vent establishment and the initial 3.5km of decline development to a depth of approximately 350 metres over a 14-month period. Underground drilling activities will commence from constructed drilling platforms in the latter stages of the works, enabling resource definition drilling of the Groundrush Gold Deposit to a depth of approximately 650 metres. The objective of the planned 33,000 metres of resource definition drilling is to convert over 400,000 ounces of mineral resources currently classified as Inferred into the higher confidence Indicated category for mine design and development purposes.